Thursday, January 31, 2013

How to Build a Great Model -- Insights from Hal Varian

I have chaired 16 doctoral dissertation committees and tomorrow my 17th doctoral student will be defending his dissertation. In academia, we sometimes refer to the chair of a student's doctoral dissertation committee as his/her "advisor."

So, necessarily, a conscientious advisor offers advice to students during his/her doctoral studies especially when it comes time to doing research for the dissertation. Here one may help in selecting the topic, suggesting related problems, assisting a student in getting papers out for publication in journals, listening to a student give a talk/seminar, etc.

It is rewarding, as a faculty member, to see a student's progress and the greatest moment comes after the dissertation is successfully defended and the student receives the diploma wearing the cap and gown. Having a student get a really nice job is also important (to the student and his family and also to the advisor who has also invested a lot of time).

I regularly offer my students advice -- even what publications they should read and send them links to interesting articles -- these can be in newspapers or magazines or journals or even working papers.

Of course, it also is very helpful to read articles on how to do great research and to write papers.

Look for ideas in the world, not in the journals. (especially The New York Times, The Wall Street Journal, and The Economist -- all personal favorites of mine, as well)

First make your model as simple as possible, then generalize it and you may go back and forth. (Try out simple examples.)

Look at the literature later, not sooner.

Model your paper after your seminar. (Here he emphasizes the importance of presenting your work to an audience. He also suggests setting your paper aside for awhile and then going back to it.)

Stop when you've made your point.

I loved how he compared developing a model and the associated creative process to sculpting. I take great pleasure in my research and do get a thrill like when I paint or look at art when the model makes sense, is elegant, and also abstracts something relevant and interesting in the real world.

According to Hal Varian: This back-and-forth iteration in building a model is like sculpting: you are chipping away a little bit here, and a little bit there, hoping to find what's really inside that stubborn block of marble. I choose the analogy with sculpting purposely: like sculpture most of the work in building a model doesn't consist of adding things, it consists of subtracting them. This is the most fun part of modeling, and it can be very exciting when the form of the idea really begins to take shape. I normally walk around in a bit of a daze at this stage; and I try not to get too far away from a yellow pad. Eventually, if you're lucky, the inner workings of your model will reveal itself: you'll see the simple core of what's going on and you'll also understand how general the phenomenon really is.

About Me

is the John F. Smith Memorial Professor of Operations Management at the Isenberg School of Management at the University of Massachusetts Amherst. She was a Visiting Fellow at All Souls College at Oxford University for the 2016 Trinity term.
She was a Visiting Professor at the School of Business, Economics and Law at the University of Gothenburg in Sweden for 2012, 2013, 2014, and 2015.
Her latest book, co-edited with I. Kotsireas and P.M. Pardalos is: Dynamics of Disasters: Key Concepts, Models, Algorithms, and Insights, published by Springer in 2016. She is also the co-author of the book: Competing on Supply Chain Quality: A Network Economics Perspective, with D. Li, and published in 2016.
She is the author of the book: Networks Against Time: Supply Chain Network Analytics for Perishable Products, co-authored with M. Yu, A.H. Masoumi, and L.S. Nagurney.
She is also the author, with Q. Qiang, of the book: Fragile Networks: Identifying Vulnerabilities and Synergies in an Uncertain World, and several other books.
She is the Founding Director of the Virtual Center for Supernetworks.